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Official Figures Reveal 'Room To Improve' Council Tax Collection

Council Tax collection rates remain high but councils failed to collect £2.5 billion of Council Tax last year

Published on 03 July 2014

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by Department for Communities and Local Government and Brandon Lewis MP


London, England

Town Hall
Town Hall

As overall Council Tax collection rates remain high, new official figures also reveal that town halls failed to collect £2.5 billion of Council Tax last year.

Welcoming the overall results, ministers said the new figures also showed that some councils still had scope to step up their efforts against Council Tax dodgers in order to safeguard services and keep Council Tax down for law-abiding citizens who pay their bills.

Overall collection rates remained roughly the same with 97% of Council Tax recouped by local authorities last year, compared to 97.4% in 2012 to 2013.

The government has worked with local authorities to reduce Council Tax. Since 2010, this has cut average bills in England by more than 11% in real-terms. In contrast the period between 1997 and 2010 saw Council Tax increase in real-terms by 47%, doubling a typical band D bill to £120 a month.

While the total amount of Council Tax collected rose by £1 billion, this reflects the government’s progress in building more homes and bringing empty houses into use, therefore increasing the number of households that councils can collect from.

Local Government Minister Brandon Lewis said:

"It is good that councils collect the vast majority of taxes owed, but as our record of an 11% real-terms reduction shows we are determined to keep Council Tax down for law-abiding citizens.

"Today’s official figures show some of the worst performing councils still have lots of room to improve to help retrieve the billions left uncollected each year.

"Every penny not collected has to be found elsewhere. This is unfair to those law-abiding citizens who diligently pay their bills."

For more information about this press release visit https://www.gov.uk/government/news/official-figures-reveal-room-to-improve-council-tax-collection



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Posted 2014-07-03 14:40:00